
Andhra Pradesh Power Generation Corporation Limited (APGENCO) is one of the pivotal organizations of the state of Andhra Pradesh in India, engaged in the business of Power generation. Apart from operation & Maintenance of the power plants it has undertaken the execution of the ongoing & new power projects scheduled under capacity addition programme and is taking up renovation & modernization works of the old power stations. APGENCO came into existence and commenced operations from 01.02.1999. After reorganization of state of the Andhra Pradesh according to Andhra Pradesh Reorganisation Act, 2014, the assets, liabilities, employees etc. of APGENCO are apportioned between the two successor states.
The installed capacity of APGENCO prior to bifurcation was 8925 MW and as on 02.06.2014 after Andhra Pradesh State Reorganisaton is 4559.6MW comprising 2810.0MW Thermal, 1747.6 MW Hydro and 2 MW Wind power stations contributes about half the total Energy Requirement of Andhra Pradesh.
ERP Implementation
APGENCO chose SAP ERP to automate and standardize processes across 27 locations. The project was named “SHAKTHI” (System to Harness APGENCO Knowledge Transformation for Harmony & Integration) as it promised to lead into a new era of Information Management in the organization. The project was aimed at establishing integrated business application architecture based on an ERP backbone that will support day to day functioning and will in turn move its business strategy forward.
APGENCO partnered with SAP India for supply and implementation of SAP ERP across 27 APGENCO locations
"Our new SAP Solution has laid down the foundation for sustainable reforms by integrating and enabling the core business operations with information system at the transaction level.”
Mr. A. Rama Rao, Executive Director (IS), APGENCO
Key Challenges before SAP ERP was implemented
Before implementing SAP ERP, APGENCO faced multiple challenges across the organization due to limited adoption of information technology leading to limited process maturity. Some of the key challenges being faced by APGENCO were:
Reasons for Choosing SAP
Project SHAKTHI was designed to overcome these business challenges and needed an integrated IT application platform that can connect and integrate all the processes across the organization. After a thorough evaluation, APGENCO choose SAP ERP due to the following reasons:
The Implementation Best Practices
APGENCO followed the ASAP methodology for implementation and in addition undertook the following key activities in a planned and coordinated way to ensure that the project is implemented within the envisaged timelines:
Project Benefits
Project SHAKTHI was one of the largest SAP implementation in power generation organization. The entire scope of SAP ECC with all core modules including add on components, like SRM, EHS, MII, BI/BOBJ were implemented in a span of 11 months. Some of the key benefits of the project are:
The SAP solution has helped APGENCO become more efficient and responsive to customers – the power purchasers. They are in a better position to support the requirements of customers. Energy billing solution has also helped them reduce the time to reconcile energy sent out and for energy audit. As an organization, they are now geared up to meet the challenges that lay ahead
The entire HR related activities including Payroll, administration, appraisal, recruitment, training and quarter’s management is being done through SAP. This has resulted in improved efficiency and transparency, which has led to increase employee satisfaction. Through Employee Self Service (ESS) tool, employees can access personal Information, Payslip, Form-16, Leave status etc. online. This has reduced the time that used to be taken earlier to provide employees with these information and also boosted the morale of employees
Awards & Recognition:
APGENCO’s ERP implementation is turning out to be a benchmark for other utilities. Since going live, many other utilities across have visited APGENCO to study their ERP implementation.
SKOCH Award 2014 - APGENCO bagged the SKOCH Award 2014 in best project category for project SHAKTHI in the country at the 38th Skoch Summit on ‘Resurgent India- Competitive India’ held at New Delhi.
SAP ACE Award for Public Services: SAP ACE Award for Public Services recognizes the pioneering organizations across PSUs, Utilities, Central and State Government agencies, which have successfully used SAP Software solutions to drive business impact in their organizations and become a role model for other organizations of their industry.
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